Do you always find yourself bottom fishing halfway up? Today, Orange will explain the correct way to bottom fish in simple terms and provide a strategy for everyone.

Want to bottom fish, don’t try to guess the lowest point, that’s what the gods do. Our ordinary people’s goal is to 'buy in a relatively cheap bottom area' and then make money with strategies.

One, when is it considered 'cheap'? Look for these signals.

Don’t just listen to others shout 'bottom fishing', learn to look for signals yourself:

Market sentiment: When people around you trading cryptocurrencies are losing and don’t want to talk, no one is discussing the market in groups, and the news is all bad, the opportunity is near. Conversely, when everyone is eagerly bottom fishing, it’s time to calmly observe, because while the big players may not be watching you, they have access to more core data and human psychology. Remember a rule: When others are fearful, be greedy.

Price position: Check the K-line chart to see if the price has dropped to the level that it could not fall below before (support level). For example: BTC has not fallen below around $112,000.

Indicator oversold: You don’t need to understand too complexly, just know an indicator called RSI. When its daily value is below 30 (it will be marked on the chart), it indicates a sharp drop, and there’s a high probability it will rebound.

Liquidation data: If you see a huge amount of liquidation across the network in one day (like billions of dollars), it indicates that most of what should be sold has been sold, and a short-term bottom may be coming.

Two, what is the safest way to buy? — Two reliable methods.

Never go all in! What you think is the bottom might just be halfway down.

Pyramid buying method (buy more as it drops, but buy less each time) is suitable for spot bottom fishing.

Step one: Divide the money you want to use for bottom fishing into 3-4 portions.

Step two: When you think the price is about right, first invest the first portion (for example, 40%).

Step three: If it falls again, and the price drops another 10%-15%, then use the second portion (for example, 30%) to average down your cost.

Step four: If it continues to fall, use less money (for example, 20%) to continue buying. This ensures that you always have money and your mindset doesn’t collapse.

Fixed amount method (mindless dollar-cost averaging) is suitable for spot, but subjective ordering is not recommended.

If you can’t judge the bottom, then don’t. In the area you feel is relatively cheap, set aside a little money to buy weekly or monthly.

Benefits: You don’t have to worry about your emotions at all, the final cost will be the average price during this period, and you will definitely not buy at the highest point.

Three, essential survival tips (three important points, particularly critical)

Set a stop-loss: Think ahead before placing orders. If you judge wrong, at what price must you accept a loss and exit? For example, stop-loss if the purchase price drops 8%. This is your capital for survival.

After making money, protect your capital: If the price rises after your purchase, immediately raise your stop-loss price to your cost price. This way, the worst result is not losing money, allowing you to let profits run.

Control your hands: Don’t gamble with all your assets, and don’t borrow money to trade cryptocurrencies. Only invest money you can afford to lose.

Bottom fishing mantra: When the market is in panic, pay attention to key levels and volume, buying in batches is the way, and set stop-loss to stay safe.

I hope this bottom fishing strategy helps you! The cryptocurrency market is highly volatile, opportunities are always present, but surviving is the most important thing. Follow Orange to learn more trading knowledge! #加密市场回调 #俄乌冲突即将结束？ #美联储取消创新活动监管计划